Can I get a mortgage on period flat owned by the council?

[ScillyGirls]

I'd like to make an offer on a Leasehold flat in a period terraced house in London with shared garden. The Freehold is owned by the local Council. Three of the flats including the one I want are sold to Leaseholders, one of the flats is occupied by a council (rental?) tenant. The Lease has 99 years remaining, which I would want to apply to extend after a couple of years.

My question is whether or not the Council as Freeholder for this type of smaller property (as opposed to a large block) is detrimental or would make the flat virtually unmortgageable?

My mortgage advisor says that lenders have mixed views due to the 'legality of ownership' and is going to reach out to banks and get back to me, but thinks it can be tricky. I've also asked another advisor for a second opinion.

But the estate agent - (who I realise has a vested interest in the sale but comes across as quite authentic) - assures me that the opposite is true and that the Council as Freeholder on this sort of property means that matters will be dealt with efficiently. He also said in his experience issues like Lease extensions are much quicker and cheaper when dealing with Council Freeholders. He also said that the current Leasholder and the Leaseholder of the flat above had no problems getting their mortgages (I can only take him at his word there).

I'd appreciate any thoughts from those with similar experiences.

What will be the cost of extending the lease? That can be an enormous cost.

If the freeholder decided the building needed cladding and a new roof, could you afford to pay the % costs you'll be liable for?

https://www.theguardian.com/money/2023/jan/16/leasehold-nightmare-why-owning-a-council-flat-could-land-you-with-a-wipeout-bill

Thank you for the input. These concerns are very valid, but I think they apply more to large council blocks or even non-council blocks, rather than period houses. There is no cladding and the building and roof seem in good repair, but indeed there is always the chance of maintenance. The owner says there is nothing impending in the way of major works that she is aware of.

The estate agent said that the Lease extension should only cost around 7k plus solicitor fees, which is fine. But again, I won't know until applying for one, so indeed this can be a grey area.

Personally I can't see why having the council as freeholder of a period conversion would create difficulties - if anything, I'd have thought the reverse. See if your solicitor can explain to you what exactly the purported issue with the 'legality of ownership' is ... surely there's no question that the council does actually own the freehold?